Legislation Seeks to Improve Oregon's Lower than Average Home Ownership Rate
Washington, DC – Today, Senator Gordon Smith (R-OR) was joined by Senator Debbie Stabenow (D-MI) in introducing the First Time Homebuyers' Tax Credit Act of 2003. Under the legislation, single taxpayers would receive $3,000 and married couples would receive $6,000 in tax credits to purchase their first homes.
"Realizing the dream of home ownership is one of the greatest moments in a lifetime," Smith said. "It provides safety and stability not only to families but to entire communities."
The tax credit is available to all single first time home buyers who earn up to $67,700 annually, and couples who earn up to $112,850 annually. Uniquely, the credits will be available at closing time allowing buyers to defray down payments and closing costs.
"Often, the biggest obstacle to purchasing a new home is an inability to make a down payment or cover high closing costs," Smith said. "Front-loading the tax credits is a new solution that will make real differences in families' lives."
The First Time Homebuyers' Tax Credit is supported by a broad coalition including Habitat for Humanity, American Bankers Association, National Council of La Raza, Mortgage Bankers Association, National American Indian Housing Council, National Housing Conference, and National Association of Affordable Housing Lenders.
Earlier this year, Senator Smith introduced legislation that would make houses more affordable for 137,000 Oregonians by creating a mortgage insurance tax deduction. That legislation recently passed the Senate as part of the economic growth package, but was removed during final negotiations. As a member of the Senate Finance Committee, Smith intends to insert both the home buyers tax credit and the mortgage insurance deduction on the next tax relief bill debated in the Senate.
